Sebi To Look At Dotcom Values

The Malegham Committee will study norms needed for valuation of dotcom ventures, Securities and Exchange Board of India chairman D R Mehta said yesterday.

Mehta was speaking at the inauguration of the multi-market trading systems of BGSE Financials _ a subsidiary of the Bangalore Stock Exchange.

Talking to reporters, he declined to comment on a news report that Sebi was planning to review the rolling settlement concept for Indian markets. "I did not say that," he said.

The Sebi chief said listed companies would be asked to declare utilisation of funds raised from the public after every quarter. At present, the declaration has to be made annually.

 

Mehta conceded that there was some volatility in the market, but said India was the least volatile market in the world.

"Our system is strong. Our markets can never fail. India's economic fundamentals are strong," he said.

He added that the Indian markets should get delinked from the US Nasdaq. "We should get delinked from Nasdaq. How can we compare ourselves with them (Nasdaq-listed scrips)," he asked.

Mehta said the Indian market was strong and had not failed for over five years. However, Sebi had constantly warned investors that they should study the prospectus before investing in companies, he pointed out.

The Sebi chief also said price fluctuations on the Nasdaq should not affect Indian bourses.

On fresh reforms, he said there was a move to allow foreign funds to invest in venture capital funds and corporate governance guidelines would be introduced shortly.